Contract Clause

Question 1

The Contract Clause limits the ability of ____ to enact laws that retroactively impair contract rights.

Answer 1

states

Question 2

Private Contracts Test

Answer 2

1. Does the legislation substantially impair a party’s rights under an existing contract? If it does not, the legislation is valid under the Contract Clause. If it does, it will be valid only if:
2. Serves an important and legitimate public interest; and
3. Is a reasonable and narrowly tailored means of promoting that interest

Question 3

Public contracts are subject to what type of scrutiny?

Answer 3

Strict scrutiny